[Good Morning Stock Market] US Stocks Rise as Oil Prices Stabilize... Rebound Expected in Korea Too

Trump Mentions "War Nearing Its End"
Brent Crude Falls to the $80 Range
U.S. Markets Close Higher Than Previous Session
"Domestic Market Expected to Recover Losses"

The New York stock market closed higher as major countries actively intervened in international oil prices and the U.S. government mentioned the prospect of "ending the war." As a result, with the KOSPI night futures also nearing their daily upper limit, the domestic stock market is expected to rebound on March 10.

On March 9 (local time) at the New York Stock Exchange, the S&P 500 Index closed at 6,795.99, up 0.83% from the previous session. The Dow Jones Industrial Average ended trading at 47,740.80, an increase of 0.50%. The tech-heavy Nasdaq Composite Index recorded the largest gain, climbing 1.83% to 22,695.95.

Reuters Yonhap News

At the start of the session, international oil prices surged to $120 per barrel, causing the stock market to appear weak. However, after messages emerged indicating a willingness to actively intervene in oil prices, both oil prices and the stock market stabilized. The finance ministers of the Group of Seven (G7) countries issued a joint statement the previous day, saying they could take necessary measures such as releasing strategic oil reserves in response to the spike in oil prices. By the close of the New York market, Brent crude had fallen 4.61% from the previous day's close to $88.42.

Additionally, remarks by U.S. President Donald Trump regarding the end of the war contributed to the stock market rebound. President Trump was reported to have said in an interview with CBS that he believes the war with Iran is nearing its conclusion. Kim Jooyeon, a researcher at Mirae Asset Securities, explained, "These developments immediately dispelled the factors behind the rise in oil prices, leading to a drop in international oil prices and driving the stock market rebound."

According to the securities industry, the decline in the domestic stock market was excessive compared to other major countries, as evidenced by the monthly circuit breaker being triggered twice up to the previous day. So far this month, approximately KRW 10 trillion in large-scale foreign capital outflows have caused the KOSPI to drop 15.9%. The declines in other major markets were less severe: the U.S. S&P 500 fell 1.6%, Hong Kong's Hang Seng dropped 4.6%, and Japan's market declined 10.4%. Lee Sunghoon, a researcher at Kiwoom Securities, said, "The main reasons were a sharp rise in the won-dollar exchange rate and a large-scale outflow of foreign capital, as global geopolitical uncertainty increased, rapidly spreading risk aversion throughout the market."

He added, "Paradoxically, amid consecutive sharp declines, the domestic stock market seems to have already factored in a significant portion of the extreme geopolitical risks compared to other major stock markets. This suggests that if tensions in the Middle East somewhat ease or further sharp increases in oil prices are limited, the domestic market could see a much larger rebound than other major markets."

In fact, as oil prices stabilize, the domestic stock market is expected to rise on this day. Han Jiyeong, a researcher at Kiwoom Securities, said, "With expectations for easing war risks and a sharp drop in oil prices, the market is likely to recover from the previous day's plunge. The KOSPI 200 night futures also closed up 7.2%, nearly reaching the daily upper limit," he said.

This content was produced with the assistance of AI translation services.